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M/s. Paripooranam Steel Traders, Chennai v/s The Assistant Commissioner of GST & Central Excise, Chennai


Company & Directors' Information:- S A L STEEL LIMITED [Active] CIN = L29199GJ2003PLC043148

Company & Directors' Information:- I S G TRADERS LIMITED [Active] CIN = L51909WB1943PLC011567

Company & Directors' Information:- M TO M TRADERS PRIVATE LIMITED [Amalgamated] CIN = U51100GJ2005PTC046435

Company & Directors' Information:- M M S STEEL PRIVATE LIMITED [Active] CIN = U27109TZ1996PTC006849

Company & Directors' Information:- TRADERS PRIVATE LIMITED [Active] CIN = U51909GJ2001PTC040133

Company & Directors' Information:- G. O. STEEL PRIVATE LIMITED [Active] CIN = U27100PB2007PTC031033

Company & Directors' Information:- I P TRADERS PRIVATE LIMITED [Active] CIN = U51909WB2003PTC097400

Company & Directors' Information:- A N TRADERS PRIVATE LIMITED [Active] CIN = U55101DL1994PTC060786

Company & Directors' Information:- TRADERS LIMITED [Strike Off] CIN = U99999MH1948PLC010149

Company & Directors' Information:- B. S. TRADERS PRIVATE LIMITED [Active] CIN = U67120DL1981PTC116873

Company & Directors' Information:- C P S STEEL INDIA PRIVATE LIMITED [Active] CIN = U27104TZ2003PTC010552

Company & Directors' Information:- K R TRADERS PVT LTD [Active] CIN = U51909AS1987PTC002815

Company & Directors' Information:- J M G STEEL PRIVATE LIMITED [Strike Off] CIN = U27105BR1992PTC004985

Company & Directors' Information:- H L STEEL PVT LTD [Active] CIN = U27107AS1992PTC003726

Company & Directors' Information:- K V M STEEL PRIVATE LIMITED [Active] CIN = U29141DL1988PTC031248

Company & Directors' Information:- K STEEL PRIVATE LIMITED [Strike Off] CIN = U27104JH1973PTC000998

Company & Directors' Information:- R. J. STEEL PRIVATE LIMITED [Active] CIN = U28112MH2009PTC193047

Company & Directors' Information:- M M STEEL PRIVATE LIMITED [Active] CIN = U27107MH2001PTC131270

Company & Directors' Information:- D L J P TRADERS PVT LTD [Active] CIN = U51909WB1991PTC052047

Company & Directors' Information:- D G TRADERS PRIVATE LIMITED [Active] CIN = U74899DL1995PTC064431

Company & Directors' Information:- R. D. TRADERS PRIVATE LIMITED. [Active] CIN = U17200MH2007PTC170419

Company & Directors' Information:- R K C TRADERS PRIVATE LIMITED [Active] CIN = U51909WB2009PTC132876

Company & Directors' Information:- G. D. TRADERS PRIVATE LIMITED [Active] CIN = U51109DL2008PTC177251

Company & Directors' Information:- R G S TRADERS PRIVATE LIMITED [Active] CIN = U65921CH1992PTC012297

Company & Directors' Information:- B L STEEL PVT LTD [Active] CIN = U51909WB1981PTC034021

Company & Directors' Information:- K V TRADERS PVT LTD [Active] CIN = U17297WB1989PTC047906

Company & Directors' Information:- STEEL TRADERS PVT LTD [Active] CIN = U51909WB1938PTC009345

Company & Directors' Information:- R K G STEEL PRIVATE LIMITED [Active] CIN = U27109DL2004PTC128852

Company & Directors' Information:- M L STEEL TRADERS PRIVATE LIMITED [Active] CIN = U51909WB2009PTC133629

Company & Directors' Information:- V B STEEL PRIVATE LIMITED [Active] CIN = U28112MH2010PTC211691

Company & Directors' Information:- I B STEEL COMPANY PRIVATE LIMITED [Strike Off] CIN = U28910MH2010PTC211344

Company & Directors' Information:- M L TRADERS PRIVATE LIMITED [Active] CIN = U01404PB2009PTC033017

Company & Directors' Information:- A R TRADERS PRIVATE LIMITED [Active] CIN = U01404PB2009PTC033018

Company & Directors' Information:- O. P. TRADERS LIMITED [Active] CIN = U51497PB1994PLC014170

Company & Directors' Information:- S A P TRADERS PRIVATE LIMITED [Active] CIN = U51909HR2011PTC042479

Company & Directors' Information:- J S C STEEL PRIVATE LIMITED [Active] CIN = U27106UP2013PTC061568

Company & Directors' Information:- R P TRADERS PRIVATE LIMITED [Active] CIN = U27109WB1998PTC086732

Company & Directors' Information:- S. M. STEEL PRIVATE LIMITED [Active] CIN = U51101MH2013PTC239811

Company & Directors' Information:- R K P STEEL LTD [Active] CIN = L27109WB1980PLC033206

Company & Directors' Information:- C P STEEL PRIVATE LIMITED [Active] CIN = U27100WB2008PTC127447

Company & Directors' Information:- R R TRADERS PRIVATE LIMITED [Active] CIN = U51109UP1991PTC013245

Company & Directors' Information:- R G TRADERS PVT LTD [Active] CIN = U70101WB1985PTC038436

Company & Directors' Information:- A. K. J. STEEL PRIVATE LIMITED [Active] CIN = U28112WB2010PTC144880

Company & Directors' Information:- D & T TRADERS PRIVATE LIMITED [Active] CIN = U74899DL1994PTC063612

Company & Directors' Information:- C D STEEL PVT LTD [Under Liquidation] CIN = U27109WB1981PTC034340

Company & Directors' Information:- T M S STEEL PRIVATE LIMITED [Strike Off] CIN = U02710TZ1996PTC007498

Company & Directors' Information:- V A TRADERS PRIVATE LIMITED [Active] CIN = U74899DL1990PTC039480

Company & Directors' Information:- R K M TRADERS PRIVATE LIMITED [Active] CIN = U51109WB2008PTC130202

Company & Directors' Information:- P AND R TRADERS PRIVATE LIMITED [Active] CIN = U51909AS2006PTC008176

Company & Directors' Information:- S K TRADERS PVT LTD [Strike Off] CIN = U17299WB1989PTC046495

Company & Directors' Information:- P M R STEEL PRIVATE LIMITED [Active] CIN = U51102DL2003PTC122675

Company & Directors' Information:- C T STEEL PVT LTD [Active] CIN = U27109WB2005PTC106634

Company & Directors' Information:- P G STEEL PVT LTD [Strike Off] CIN = U24111AS1998PTC005409

Company & Directors' Information:- S D TRADERS PRIVATE LIMITED [Active] CIN = U51909PB2010PTC034457

Company & Directors' Information:- A AND S STEEL PRIVATE LIMITED [Active] CIN = U63090DL1987PTC027835

Company & Directors' Information:- J. D. J. TRADERS PRIVATE LIMITED [Active] CIN = U51109WB2008PTC124248

Company & Directors' Information:- A G TRADERS PRIVATE LIMITED [Active] CIN = U74899DL1947PTC001282

Company & Directors' Information:- M U TRADERS PRIVATE LIMITED [Converted to LLP] CIN = U51900AS2008PTC008853

Company & Directors' Information:- T. P. TRADERS PVT. LTD. [Active] CIN = U25209WB1995PTC068943

Company & Directors' Information:- N. L. TRADERS PRIVATE LIMITED [Strike Off] CIN = U52100UP2012PTC049307

Company & Directors' Information:- P T TRADERS PRIVATE LIMITED [Active] CIN = U67120AS1999PTC005836

Company & Directors' Information:- TRADERS & TRADERS PVT. LTD. [Strike Off] CIN = U51109WB1992PTC055444

Company & Directors' Information:- J S STEEL PRIVATE LIMITED [Active] CIN = U52190CT1978PTC001432

Company & Directors' Information:- S K TRADERS PRIVATE LIMITED [Strike Off] CIN = U51109KL2003PTC016071

Company & Directors' Information:- U M STEEL PRIVATE LIMITED [Strike Off] CIN = U27209TN1986PTC013670

Company & Directors' Information:- E & G STEEL INDIA PRIVATE LIMITED [Strike Off] CIN = U28113PN2009PTC134643

Company & Directors' Information:- S AND H TRADERS PRIVATE LIMITED [Under Process of Striking Off] CIN = U51909KL1998PTC012688

Company & Directors' Information:- L N STEEL PRIVATE LIMITED [Active] CIN = U27310WB2007PTC118206

Company & Directors' Information:- M & I TRADERS PRIVATE LIMITED [Active] CIN = U51109MP2008PTC020491

Company & Directors' Information:- L. K. TRADERS PRIVATE LIMITED [Active] CIN = U50400HR2011PTC043898

Company & Directors' Information:- K. D. W. STEEL PRIVATE LIMITED [Active] CIN = U28910UP2011PTC043976

Company & Directors' Information:- R. N. STEEL PRIVATE LIMITED [Active] CIN = U27100WB2007PTC116588

Company & Directors' Information:- P M STEEL PRIVATE LIMITED [Active] CIN = U27105MP1982PTC001915

Company & Directors' Information:- M R STEEL (INDIA) PRIVATE LIMITED [Active] CIN = U27100TG2013PTC088808

Company & Directors' Information:- A V TRADERS PRIVATE LIMITED [Active] CIN = U51909AS2010PTC009934

Company & Directors' Information:- C K STEEL PVT LTD [Active] CIN = U29150WB1975PTC030259

Company & Directors' Information:- GST PRIVATE LIMITED [Strike Off] CIN = U27104MH2002PTC136410

Company & Directors' Information:- STEEL INDIA COMPANY (CHENNAI) PRIVATE LIMITED [Active] CIN = U27101TN2004PTC053840

Company & Directors' Information:- S I S TRADERS PRIVATE LIMITED [Strike Off] CIN = U51505TN2006PTC058736

Company & Directors' Information:- P G TRADERS PRIVATE LIMITED [Active] CIN = U74120UP2011PTC043805

Company & Directors' Information:- R C TRADERS PRIVATE LIMITED [Active] CIN = U74999UP2016PTC085068

Company & Directors' Information:- M K G TRADERS PRIVATE LIMITED [Active] CIN = U51494DL2008PTC183965

Company & Directors' Information:- K STEEL & COMPANY PVT LTD [Strike Off] CIN = U51909WB1991PTC053960

Company & Directors' Information:- S L TRADERS PRIVATE LIMITED [Strike Off] CIN = U15109UP1987PTC008981

Company & Directors' Information:- K N TRADERS PRIVATE LIMITED [Strike Off] CIN = U51109DL1984PTC017665

Company & Directors' Information:- N S STEEL PVT LTD [Strike Off] CIN = U27106PB1980PTC004266

Company & Directors' Information:- S R TRADERS PVT LTD [Active] CIN = U51909WB1985PTC039063

Company & Directors' Information:- B P TRADERS PVT LTD [Strike Off] CIN = U28931WB1980PTC032693

Company & Directors' Information:- K A TRADERS PRIVATE LIMITED [Strike Off] CIN = U74899DL1994PTC060650

Company & Directors' Information:- A M TRADERS PRIVATE LIMITED [Strike Off] CIN = U52100DL1993PTC054323

Company & Directors' Information:- O B S TRADERS PVT LTD [Active] CIN = U74899DL1990PTC039242

Company & Directors' Information:- Y. R. TRADERS PRIVATE LIMITED [Active] CIN = U51909WB2011PTC163724

Company & Directors' Information:- V D M TRADERS PRIVATE LIMITED [Strike Off] CIN = U51392KL2003PTC016586

Company & Directors' Information:- V C TRADERS PRIVATE LIMITED [Strike Off] CIN = U51496KL2005PTC018548

Company & Directors' Information:- J AND J TRADERS PRIVATE LIMITED [Strike Off] CIN = U19129UP1992PTC014356

Company & Directors' Information:- R C STEEL PVT LTD [Strike Off] CIN = U28112AS1980PTC001811

Company & Directors' Information:- B AND M TRADERS PVT LTD [Strike Off] CIN = U52321TN1988PTC016066

Company & Directors' Information:- A V V S TRADERS PVT LTD. [Strike Off] CIN = U51102TN1988PTC016437

Company & Directors' Information:- V M TRADERS PVT LTD [Strike Off] CIN = U05001UP1990PTC011859

Company & Directors' Information:- A P TRADERS PRIVATE LIMITED [Active] CIN = U17297UP1994PTC016102

Company & Directors' Information:- P D STEEL PRIVATE LIMITED [Strike Off] CIN = U74899DL1989PTC038426

Company & Directors' Information:- A K STEEL PVT LTD [Strike Off] CIN = U99999DL1961PTC003566

Company & Directors' Information:- H S P STEEL PRIVATE LIMITED [Strike Off] CIN = U27100MH2013PTC242983

Company & Directors' Information:- A A TRADERS PRIVATE LIMITED [Active] CIN = U74899DL1964PTC004250

Company & Directors' Information:- A V B TRADERS PRIVATE LIMITED [Active] CIN = U51909MH2003PTC138973

Company & Directors' Information:- D H STEEL PRIVATE LIMITED [Strike Off] CIN = U27109RJ2012PTC039742

Company & Directors' Information:- R K TRADERS PVT LTD [Active] CIN = U31200MH1976PTC018744

Company & Directors' Information:- D AND P TRADERS PRIVATE LIMITED [Strike Off] CIN = U52322PN2009PTC133581

Company & Directors' Information:- M M TRADERS PRIVATE LIMITED [Active] CIN = U51500MH1975PTC018056

Company & Directors' Information:- N R TRADERS PRIVATE LIMITED [Strike Off] CIN = U51900MH2005PTC157670

Company & Directors' Information:- R K TRADERS PRIVATE LIMITED [Active] CIN = U23201MH1976PTC018743

Company & Directors' Information:- R A STEEL PRIVATE LIMITED [Active] CIN = U51909MH2014PTC253625

Company & Directors' Information:- M. P. TRADERS PRIVATE LIMITED [Active] CIN = U51909WB2016PTC215988

Company & Directors' Information:- A & T TRADERS PRIVATE LIMITED [Active] CIN = U51900CH2015PTC035530

Company & Directors' Information:- B M TRADERS PRIVATE LIMITED [Strike Off] CIN = U51909CH2010PTC032424

Company & Directors' Information:- R S C TRADERS PRIVATE LIMITED [Strike Off] CIN = U93091DL2006PTC149264

Company & Directors' Information:- N. V. STEEL PRIVATE LIMITED [Strike Off] CIN = U27310DL2009PTC186541

Company & Directors' Information:- K. D. STEEL PRIVATE LIMITED [Strike Off] CIN = U28939DL2012PTC244467

Company & Directors' Information:- U R TRADERS PRIVATE LIMITED [Strike Off] CIN = U74899DL1994PTC056950

Company & Directors' Information:- L M TRADERS PRIVATE LIMITED [Active] CIN = U51497DL2014PTC274205

Company & Directors' Information:- M K R K TRADERS PRIVATE LIMITED [Strike Off] CIN = U51909DL2005PTC141404

Company & Directors' Information:- G R S TRADERS PRIVATE LIMITED [Converted to LLP] CIN = U51311DL2002PTC116627

Company & Directors' Information:- INDIA TRADERS PRIVATE LIMITED [Strike Off] CIN = U74900DL2014PTC269271

Company & Directors' Information:- S K G TRADERS PRIVATE LIMITED [Active] CIN = U52100DL2011PTC213707

Company & Directors' Information:- S M L TRADERS PRIVATE LIMITED [Strike Off] CIN = U51909AP2010PTC068983

Company & Directors' Information:- F & F TRADERS PRIVATE LIMITED [Active] CIN = U51900MP2010PTC023505

Company & Directors' Information:- M G TRADERS (INDIA) PRIVATE LIMITED [Strike Off] CIN = U51101KA2012PTC066173

Company & Directors' Information:- V S TRADERS PRIVATE LIMITED [Active] CIN = U23109GJ2002PTC040842

Company & Directors' Information:- STEEL INDIA PRIVATE LIMITED [Strike Off] CIN = U00349KA1958PTC001309

Company & Directors' Information:- D & R TRADERS PRIVATE LIMITED [Strike Off] CIN = U74999DL1996PTC081454

Company & Directors' Information:- R S TRADERS PVT LTD [Strike Off] CIN = U24119WB1980PTC033197

Company & Directors' Information:- A. L. TRADERS PRIVATE LIMITED [Strike Off] CIN = U74999DL2000PTC105282

Company & Directors' Information:- K S TRADERS PVT LTD [Strike Off] CIN = U51909PB1990PTC010753

Company & Directors' Information:- P S TRADERS PRIVATE LIMITED [Strike Off] CIN = U92490TN1979PTC007957

Company & Directors' Information:- S P TRADERS PVT LTD [Strike Off] CIN = U51909WB1985PTC038361

Company & Directors' Information:- S S TRADERS AND CO PVT LTD [Strike Off] CIN = U65923DL1959PTC003031

Company & Directors' Information:- A K L TRADERS PVT LTD [Strike Off] CIN = U51909MP1989PTC005014

Company & Directors' Information:- THE CENTRAL INDIA TRADERS LIMITED [Dissolved] CIN = U99999MH1946PLC010385

Company & Directors' Information:- TRADERS LIMITED [Dissolved] CIN = U99999MH1951PLC010277

    Civil Miscellaneous Appeal No. 93 of 2019

    Decided On, 04 April 2019

    At, High Court of Judicature at Madras

    By, THE HONOURABLE MR. JUSTICE T.S. SIVAGNANAM & THE HONOURABLE MRS. JUSTICE V. BHAVANI SUBBAROYAN

    For the Appellant: A. Thiagarajan, SC, P. Premkumar, Advocates. For the Respondent: K. Umesh Rao, SSC.



Judgment Text


(Prayer: Appeal under Section 35 of the Central Excise Act against Final Order No.42744/2018 dated 31.10.2018 in Appeal No.E/40707/2018-SM on the file of the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai.)

T.S. Sivagnanam, J.

1. We have heard Mr.A.Thiagarajan, learned Senior Counsel appearing on behalf of Mr.P.Premkumar, learned counsel on record for the appellant and Mr.K.Umesh Rao, learned Senior Standing Counsel appearing for the respondent.

2. This appeal by the assessee is directed against Final Order No. 42744/2018 dated 31.10.2018 in Appeal No.E/40707/2018-SM on the file of the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai (for short, the Tribunal).

3. The appellant filed this appeal by raising the following substantial questions of law :

“i. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the Department has discharged the burden of proof cast on it to levy penalty on the appellant solely based on the retracted statement is correct in law ?

ii. Whether, on the facts and in the circumstances of the case, the Tribunal is justified in recording the findings against the appellant without giving an opportunity to cross examine the person, whose statement was relied upon against the appellant is correct in law ? And

iii. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in not considering the movement of the goods, passing of consideration, which are contemporaneous records maintained and filed by the appellant by following mercantile system of accounting is correct in law?”

4. The Joint Commissioner of Central Excise, Chennai I Commissionerate issued a show cause notice dated 13.5.2016 calling upon the appellant – assessee to show cause as to why penalty should not be imposed on them under Rule 26(2) of the Central Excise Rules, 2002. In the said show cause notice, the Adjudicating Authority placed reliance on a statement given by the proprietor of the appellant – assessee on 14.9.2012, the photocopies of the invoices listed in the annexure to the said show causes notice, e-payment challans evidencing payment by M/s.Priya Engineering, the letter of the Department dated 28.9.2015 and the letter received from the Commissioner of Central Excise, Chennai IV Commissionerate dated 29.11.2015 confirming payment of subject amounts by the said M/s.Priya Engineering.

5. The appellant – assessee filed a reply dated 30.6.2016. The allegation against the appellant – assessee that they had availed the CENVAT credit without actually supplying the goods, was denied and the statement recorded from the proprietor of the appellant – assessee dated 14.9.2012 was stated to be under coercion and duress. The appellant – assessee placed reliance on the retracted statement dated 19.2.2015. Apart from that, the appellant – assessee produced certain invoices to show that there had been movement of goods and that the allegation made in the said show cause notice was not sustainable.

6. The Adjudicating Authority considered the submissions made by the appellant – assessee and by Order-in-Original dated 27.2.2017, rejected the explanation offered and confirmed the demand of penalty as made in the said show cause notice.

7. Aggrieved by that, the appellant – assessee preferred an appeal before the Commissioner of GST and Central Excise (Appeals-I). Even before the Appellate Authority, more or less, identical submissions were made as done before the Adjudicating Authority. The Appellate Authority, after considering the facts of the case and the grounds raised, rejected the plea raised by the appellant – assessee to refer to the retracted statement dated 19.2.2015 and after assigning other reasons, the Appellate Authority rejected the appeal by order dated 12.12.2017.

8. Challenging the said order dated 12.12.2017, the appellant – assessee filed further appeal, which was dismissed by the Tribunal by the impugned order.

9. The learned Senior Counsel appearing on behalf of the appellant submits that except for a reference to the original statement dated 14.9.2012, the Tribunal has not rendered any finding as to how the allegation made against the appellant has been made out and more particularly when the appellant was able to produce documents to show that the goods were, in fact, supplied. In that regard, the learned Senior Counsel has drawn the attention of this Court to paragraph 5.1 of the impugned order.

10. It has to be pointed out that the appellant – assessee, vide statement dated 14.9.2012, admitted the guilt. In fact, the CENVAT credit, which was availed, was reversed voluntarily. After about three years, the appellant – assessee retracted the statement on 19.2.2015. In the interregnum, the appellant – assessee did not raise any plea with regard to the allegation of coercion and duress while recording the statement dated 14.9.2012. Therefore, the Adjudicating Authority, the Appellate Authority and the Tribunal were right in rejecting the retracted statement dated 19.2.2015.

11. With regard to the invoices, which were submitted by the appellant – assessee, the Original Authority considered the same and found that the bank statements showed that the amount of money received by the appellant – assessee did not correlate with any of the invoice values raised by the appellant – assessee to M/s.Priya Engineering. In that regard, the Adjudicating Authority referred to a sample invoice in Invoice No.127 dated 30.9.2011. Thus, the Adjudicating Authority came to the conclusion that the appellant – assessee had not established that the amounts received by them in their bank accounts from M/s.Priya Engineering pertained to the invoices detailed in annexure I to the said show cause notice.

12. The Appellate Authority also considered the factual matrix, reappreciated the documents, which were placed by the appellant – assessee and confirmed the findings of the Adjudicating Authority.

13. Th

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e Tribunal considered the contentions raised by the appellant – assessee and assigned reasons as to why the contentions advanced by the assessee do not merit consideration. Thus, we find the the Tribunal passed a speaking order and by way of this appeal filed by the assessee under Section 35G of the Central Excise Act, 1944, we cannot be called upon to reappreciate the evidence, which was considered and appreciated by the Adjudicating Authority, the First Appellate Authority and the Tribunal. Thus, in our considered view, no substantial question of law arises for consideration in this appeal. 14. Accordingly, the above civil miscellaneous appeal is dismissed. No costs.
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